Cisco Stock Stalls After Record Revenue and AI Orders

Cisco Systems recently reported record revenue of $17.3 billion for its fiscal fourth quarter, representing an 18% increase from the same period last year.

The company also announced that it had received $9.3 billion in hyperscaler AI orders, with related revenue expected to reach $7.5 billion in fiscal 2027.

While demand for Cisco's products was not a problem, the rally stalled after its August 12 earnings report, and investors are now looking for proof that the company's rapidly growing AI infrastructure business can generate enough profit to justify its valuation.